Costs and benefits in vocational education and training

This paper has been prepared as part of the analytical phase of the OECD policy review on vocational education and training (VET). Its purpose is to identify the different costs and benefits involved in the provision of initial VET and the difficulties involved in assessing them from a comparative point of view. At this stage the paper is provisional and makes no claims to present exhaustive information on a subject of such broad scope. During the course of the VET policy review, it will be updated and evidence from other elements of the project, in particular the international...  [+] Show more

This paper has been prepared as part of the analytical phase of the OECD policy review on vocational education and training (VET). Its purpose is to identify the different costs and benefits involved in the provision of initial VET and the difficulties involved in assessing them from a comparative point of view. At this stage the paper is provisional and makes no claims to present exhaustive information on a subject of such broad scope. During the course of the VET policy review, it will be updated and evidence from other elements of the project, in particular the international questionnaire incorporated. Countries are invited to provide feedback and contribute additional research and data to the evidence base. The paper draws from different approaches to the analysis of VET costs and benefits using evidence from OECD countries. It underlines the importance of examining the background factors which determine the cost-benefit relationship and discusses some methodological limitations. The remainder of the paper is divided into two parts. The first deals with VET costs and their distribution between different stakeholders. The second sets out the different types of benefits and their determinants and sheds light on the evidence regarding both the employer and individual returns to VET.

Published abstract reprinted by permission of the copyright owner.